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Hassle-Free Web is bidding to provide web hosting services for Hotel Lisbon. Hotel Lisbon pays its current provider $10,400 per year for hosting its web

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Hassle-Free Web is bidding to provide web hosting services for Hotel Lisbon. Hotel Lisbon pays its current provider $10,400 per year for hosting its web page, handing transactions, etc. Hassle. Free figures that it will noed to purchase equipment worth $15,100 up front and then spend $2,200 per year on monitoring, updat and bandwidth to provide the service for 3 years. If Hassle.Free's cost of capital is 9.6%, can it bid less than $10,400 per year to provide the service and still increas its value by doing so? Hassle-Free can bid as low as ? (Round to the nearest dollar.)

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